COUNCIL OF
Brussels, 21 September 2011
THE EUROPEAN UNION
14487/11
Interinstitutional File:
2011/0006 (COD)
EF
127
ECOFIN
608
SURE
24
CODEC 1490
REPORT
from:
Presidency
to:
Permanent Representatives Committee
No. Cion prop.:
5523/11 EF 6 ECOFIN 20 SURE 1 CODEC 75
Subject:
Proposal for a Directive of the European Parliament and of the Council
amending Directives 2003/71/EC and 2009/138/EC in respect of the powers of
the European Insurance and Occupational Pensions Authority and the
European Securities and Markets Authority
- General approach
I.
INTRODUCTION
1.
On 19 January 2011 the Commission transmitted to the Council its proposal for a
Directive of the European Parliament and of the Council amending Directives
2003/71/EC and 2009/138/EC in respect of the powers of the European Insurance and
Occupational Pensions Authority and the European Securities and Markets Authority
(Omnibus 2)
.
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2.
The proposal has been examined by the Working Party on Financial Services at several
meetings during the Hungarian and Polish Presidencies.
3.
The European Central Bank adopted its opinion on the proposal on 4 May 20111, and
the European Economic and Social Committee, respectively, on 5 May 2011. The
opinion of the European Parliament's ECON Committee is still to be delivered.
4.
In these circumstances the Presidency aims at an agreement on a general approach as
soon as possible in order to start negotiations with the European Parliament with a view
to a first reading agreement.
II.
STATE OF PLAY
5.
Following the work of the Working Party, there is now a qualified majority of
delegations supporting the Presidency compromise as set out in doc. 14485/11 EF 126
ECOFIN 607 SURE 23 CODEC 1488.
6.
There is nevertheless one issue still lacking unanimous support from delegations. It
concerns the transitional measure set out in Article 308a(2) to phase in the rates of the
relevant risk-free interest rate term structure to calculate the amount of assets to cover
the technical provisions in accordance with the Solvency 2 regime. Currently the
Presidency suggests a transitional measure over a phase-in period of 7 years. This
transitional measure is disputed, with views ranging from, extending the phase-in
period to 10 years, to full removal. The Presidency believes that the current
compromise, which is supported by a qualified majority of delegations, achieves the
best possible balance between the views expressed.
1
9928/11 EF 68 ECOFIN 254 SURE 9 CODEC 782
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III.
CONCLUSION
8.
Against this background the Permanent Representatives Committee is invited to:
-
agree on the general approach with regard to the proposed Directive, as set out in
doc. 14485/11 EF 126 ECOFIN 607 SURE 23 CODEC 1488;
-
invite the Presidency to conduct negotiations with the European Parliament on
the basis of this general approach with a view to reaching an agreement at first
reading.
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